Remain wary of online finance scams
OVER 4 million new digital accounts were opened in the country during the first seven weeks of the Luzon-wide lockdown, the Bangko Sentral ng Pilipinas (BSP) reported on Thursday, but warned the public anew of financial scams taking advantage the coronavirus disease 2019 (Covid-19) pandemic.
In a briefing, BSP Governor Benjamin Diokno said central bank data showed that about 4.11 million digital accounts were opened among banks and nonbank electronic money issuers from March 17 to April 30.
Industry sources also indicated that new web signups and app downloads increased by 100 percent year-on-year in the first four months of 2020, he added.
“With the significant shift to digital financial services, it is critical to be vigilant against fraudsters and cyber criminals who take advantage of this change in consumer behavior,” Diokno said.
His remarks come as more banks are warning their clients to be careful of online financial crimes that have emerged in the last several weeks.
According to the BSP chief, these include donations, charity scams, investments, product scams and even money mules, wherein persons are recruited to lend to personal accounts and receive online transfers from illegal sources under the guise of charity or Covid-19 donations.
Fake or malicious websites and phishing emails were the predominant entry points of cyber criminals.
“These phishing emails initially appear to provide information and how a person can protect himself or herself from Covid-19. Some even contain legitimate statements/advice from public officials or valid sources, but they are actually loaded with spyware,” Diokno explained.
As Filipinos become more digital with their financial transactions, he said everyone “should be conscious of our shared responsibility in preventing cyber criminals in perpetrating their criminal activities.”
Financial clients must also protect their own personal information and remain vigilant when performing financial transactions in banks.
“Proper cyber hygiene and ensuring strict confidentiality of personal information are some of the most basic, but effective means of avoiding frauds,” Diokno said.
The Bangko Sentral said it would continue to formulate innovative strategies for the financial services industry to safely transition toward the “new economy.”
“Now, to ensure the financial services industry remains cyberresilient, the BSP put in place initiatives that support its regular supervisory activities,” Diokno said. These include enhanced regulations, cyber surveillance, collaboration with law enforcers, and communication campaign.
Meanwhile, BSP Director Melchor Plabasan noted that banks “did pretty well” in ensuring that the industry remains cyber resilient.
“I think that the most of the banks are on top in terms of implementing countermeasures and controls to address cyber-related threats,” he said.